CS/CS/CS/HB 303

1
A bill to be entitled
2An act relating to regulation of real estate appraisers
3and appraisal management companies; amending s. 475.611,
4F.S.; providing definitions; amending s. 475.613, F.S.;
5revising the membership of the Florida Real Estate
6Appraisal Board; amending s. 475.614, F.S.; requiring the
7board to adopt certain rules; amending s. 475.6147, F.S.;
8requiring application, registration, and renewal fees for
9appraisal management companies; creating s. 475.6235,
10F.S.; requiring appraisal management companies to register
11with the Department of Business and Professional
12Regulation; specifying application requirements and
13procedures; requiring the fingerprinting and criminal
14history records checks of, and providing qualifications
15for, certain persons who control appraisal management
16companies; requiring nonresident appraisal management
17companies to consent to commencement of actions in this
18state; requiring the department to adopt rules relating to
19the renewal of registrations; amending s. 475.624, F.S.;
20conforming provisions to changes made by the act; creating
21s. 475.6245, F.S.; providing for the discipline of
22appraisal management companies by the board; amending s.
23475.626, F.S.; providing penalties; conforming provisions
24to changes made by the act; amending s. 475.629, F.S.;
25revising requirements for the retention of appraisal
26records; requiring appraisal management companies to
27follow such requirements; providing an effective date.
28
29Be It Enacted by the Legislature of the State of Florida:
30
31     Section 1.  Subsection (1) of section 475.611, Florida
32Statutes, is amended to read:
33     475.611  Definitions.-
34     (1)  As used in this part, the term:
35     (a)  "Appraisal" or "appraisal services" means the services
36provided by certified or licensed appraisers or registered
37trainee appraisers, and includes:
38     1.  "Appraisal assignment" denotes an engagement for which
39a person is employed or retained to act, or could be perceived
40by third parties or the public as acting, as an agent or a
41disinterested third party in rendering an unbiased analysis,
42opinion, review, or conclusion relating to the nature, quality,
43value, or utility of specified interests in, or aspects of,
44identified real property.
45     2.  "Analysis assignment" denotes appraisal services that
46relate to the employer's or client's individual needs or
47investment objectives and includes specialized marketing,
48financing, and feasibility studies as well as analyses,
49opinions, and conclusions given in connection with activities
50such as real estate brokerage, mortgage banking, real estate
51counseling, or real estate consulting.
52     3.  "Appraisal review assignment" denotes an engagement for
53which an appraiser is employed or retained to develop and
54communicate an opinion about the quality of another appraiser's
55appraisal, appraisal report, or work. An appraisal review may or
56may not contain the reviewing appraiser's opinion of value.
57     (b)  "Appraisal Foundation" or "foundation" means the
58Appraisal Foundation established on November 20, 1987, as a not-
59for-profit corporation under the laws of Illinois.
60     (c)  "Appraisal management company" means a person who
61performs appraisal management services.
62     (d)  "Appraisal management services" means the coordination
63or management of appraisal services for compensation by:
64     1.  Employing, contracting with, or otherwise retaining one
65or more appraisers to perform appraisal services for a client;
66or
67     2.  Acting as a broker or intermediary between a client and
68one or more appraisers to facilitate the client's employing,
69contracting with, or otherwise retaining the appraisers.
70     (e)(c)  "Appraisal report" means any communication, written
71or oral, of an appraisal, appraisal review, appraisal consulting
72service, analysis, opinion, or conclusion relating to the
73nature, quality, value, or utility of a specified interest in,
74or aspect of, identified real property, and includes any report
75communicating an appraisal analysis, opinion, or conclusion of
76value, regardless of title. However, in order to be recognized
77in a federally related transaction, an appraisal report must be
78written.
79     (f)(d)  "Appraisal review" means the act or process of
80developing and communicating an opinion about the quality of
81another appraiser's appraisal, appraisal report, or work.
82     (g)(e)  "Appraisal subcommittee" means the designees of the
83heads of the federal financial institutions regulatory agencies
84established by the Federal Financial Institutions Examination
85Council Act of 1978 (12 U.S.C. ss. 3301 et seq.), as amended.
86     (h)(f)  "Appraiser" means any person who is a registered
87trainee real estate appraiser, a licensed real estate appraiser,
88or a certified real estate appraiser. An appraiser renders a
89professional service and is a professional within the meaning of
90s. 95.11(4)(a).
91     (i)  "Appraiser panel" means a group of appraisers selected
92by an appraisal management company to perform appraisal services
93for clients on behalf of the company.
94     (j)(g)  "Board" means the Florida Real Estate Appraisal
95Board established under this section.
96     (k)(h)  "Certified general appraiser" means a person who is
97certified by the department as qualified to issue appraisal
98reports for any type of real property.
99     (l)(i)  "Certified residential appraiser" means a person
100who is certified by the department as qualified to issue
101appraisal reports for residential real property of one to four
102residential units, without regard to transaction value or
103complexity, or real property as may be authorized by federal
104regulation.
105     (m)  "Client" means a person who contracts with an
106appraiser or appraisal management company for the performance of
107appraisal services.
108     (n)(j)  "Department" means the Department of Business and
109Professional Regulation.
110     (o)(k)  "Direct supervision" means the degree of
111supervision required of a supervisory appraiser overseeing the
112work of a registered trainee appraiser by which the supervisory
113appraiser has control over and detailed professional knowledge
114of the work being done. Direct supervision is achieved when a
115registered trainee appraiser has regular direction, guidance,
116and support from a supervisory appraiser who has the
117competencies as determined by rule of the board.
118     (p)(l)  "Federally related transaction" means any real
119estate-related financial transaction which a federal financial
120institutions regulatory agency or the Resolution Trust
121Corporation engages in, contracts for, or regulates, and which
122requires the services of a state-licensed or state-certified
123appraiser.
124     (q)(m)  "Licensed appraiser" means a person who is licensed
125by the department as qualified to issue appraisal reports for
126residential real property of one to four residential units or on
127such real estate or real property as may be authorized by
128federal regulation. After July 1, 2003, the department shall not
129issue licenses for the category of licensed appraiser.
130     (r)(n)  "Registered trainee appraiser" means a person who
131is registered with the department as qualified to perform
132appraisal services only under the direct supervision of a
133licensed or certified appraiser. A registered trainee appraiser
134may accept appraisal assignments only from her or his primary or
135secondary supervisory appraiser.
136     (s)  "Signature" means personalized evidence indicating
137authentication of work performed by an appraiser and the
138acceptance of responsibility for the content of an appraisal,
139appraisal review, or appraisal consulting service or conclusions
140in an appraisal report.
141     (t)(o)  "Supervisory appraiser" means a licensed appraiser,
142a certified residential appraiser, or a certified general
143appraiser responsible for the direct supervision of one or more
144registered trainee appraisers and fully responsible for
145appraisals and appraisal reports prepared by those registered
146trainee appraisers. The board, by rule, shall determine the
147responsibilities of a supervisory appraiser, the geographic
148proximity required, the minimum qualifications and standards
149required of a licensed or certified appraiser before she or he
150may act in the capacity of a supervisory appraiser, and the
151maximum number of registered trainee appraisers to be supervised
152by an individual supervisory appraiser.
153     (u)(p)  "Training" means the process of providing for and
154making available to a registered trainee appraiser, under direct
155supervision, a planned, prepared, and coordinated program, or
156routine of instruction and education, in appraisal professional
157and technical appraisal skills as determined by rule of the
158board.
159     (v)(q)  "Uniform Standards of Professional Appraisal
160Practice" means the most recent standards approved and adopted
161by the Appraisal Standards Board of the Appraisal Foundation.
162     (w)(r)  "Valuation services" means services pertaining to
163aspects of property value and includes such services performed
164by certified appraisers, registered trainee appraisers, and
165others.
166     (x)(s)  "Work file" means the documentation necessary to
167support an appraiser's analysis, opinions, and conclusions.
168     Section 2.  Subsection (1) of section 475.613, Florida
169Statutes, is amended to read:
170     475.613  Florida Real Estate Appraisal Board.-
171     (1)  There is created the Florida Real Estate Appraisal
172Board, which shall consist of nine seven members appointed by
173the Governor, subject to confirmation by the Senate. Four
174members of the board must be real estate appraisers who have
175been engaged in the general practice of appraising real property
176in this state for at least 5 years immediately preceding
177appointment. In appointing real estate appraisers to the board,
178while not excluding other appraisers, the Governor shall give
179preference to real estate appraisers who are not primarily
180engaged in real estate brokerage or mortgage lending activities.
181Two members of the board must represent the appraisal management
182industry. One member of the board must represent organizations
183that use appraisals for the purpose of eminent domain
184proceedings, financial transactions, or mortgage insurance. Two
185members of the board shall be representatives of the general
186public and shall not be connected in any way with the practice
187of real estate appraisal, real estate brokerage, or mortgage
188lending. The appraiser members shall be as representative of the
189entire industry as possible, and membership in a nationally
190recognized or state-recognized appraisal organization shall not
191be a prerequisite to membership on the board. To the extent
192possible, no more than two members of the board shall be
193primarily affiliated with any one particular national or state
194appraisal association. Two of the members must be licensed or
195certified residential real estate appraisers and two of the
196members must be certified general real estate appraisers at the
197time of their appointment.
198     (a)  Members of the board shall be appointed for 4-year
199terms. Any vacancy occurring in the membership of the board
200shall be filled by appointment by the Governor for the unexpired
201term. Upon expiration of her or his term, a member of the board
202shall continue to hold office until the appointment and
203qualification of the member's successor. A member may not be
204appointed for more than two consecutive terms. The Governor may
205remove any member for cause.
206     (b)  The headquarters for the board shall be in Orlando.
207     (c)  The board shall meet at least once each calendar
208quarter to conduct its business.
209     (d)  The members of the board shall elect a chairperson at
210the first meeting each year.
211     (e)  Each member of the board is entitled to per diem and
212travel expenses as set by legislative appropriation for each day
213that the member engages in the business of the board.
214     Section 3.  Section 475.614, Florida Statutes, is amended
215to read:
216     475.614  Power of board to adopt rules and decide questions
217of practice; requirements for protection of appraiser's
218signature.-
219     (1)  The board has authority to adopt rules pursuant to ss.
220120.536(1) and 120.54 to implement provisions of law conferring
221duties upon it. The board may decide questions of practice
222arising in the proceedings before it, having regard to this
223section and the rules then in force.
224     (2)  The board shall adopt rules specifying the means by
225which an appraiser's signature may be affixed to an appraisal
226report or other work performed by the appraiser. The rules shall
227include requirements for protecting the security of an
228appraiser's signature and prohibiting practices that may
229discredit the use of an appraiser's signature to authenticate
230the work performed by the appraiser.
231     Section 4.  Subsection (1) of section 475.6147, Florida
232Statutes, is amended to read:
233     475.6147  Fees.-
234     (1)(a)  The board by rule may establish fees to be paid for
235application, licensing and renewal, certification and
236recertification, registration and reregistration, reinstatement,
237and recordmaking and recordkeeping.
238     (b)  The fee for initial application of an appraiser may
239not exceed $150, and the combined cost of the application and
240examination may not exceed $300. The initial certification,
241registration, or license fee and the certification,
242registration, or license renewal fee may not exceed $150 for
243each year of the duration of the certification, registration, or
244license.
245     (c)  The fee for initial application of an appraisal
246management company may not exceed $150. The initial registration
247and registration renewal fee may not exceed $150 for each year
248of the duration of the registration.
249     (d)  The board may also establish by rule a late renewal
250penalty.
251     (e)  The board shall establish fees which are adequate to
252ensure its continued operation. Fees shall be based on estimates
253made by the department of the revenue required to implement this
254part and other provisions of law relating to the regulation of
255real estate appraisers.
256     Section 5.  Section 475.6235, Florida Statutes, is created
257to read:
258     475.6235  Registration of appraisal management companies
259required.-
260     (1)  A person may not engage in appraisal management
261services for compensation in this state, advertise or represent
262herself or himself as an appraisal management company, or use
263the titles "appraisal management company," "appraiser
264cooperative," "appraiser portal," or "mortgage technology
265company," or any abbreviation or words to that effect, unless
266the person is registered with the department as an appraisal
267management company under this section. However, an employee of
268an appraisal management company is not required to obtain a
269separate registration.
270     (2)  An application for registration must be submitted to
271the department in the format prescribed by the department and
272must include, at a minimum, the following:
273     (a)  The firm or business name under which the appraisal
274management company conducts business in this state. The
275appraisal management company must notify the department of any
276change in the firm or business name, on a form provided by the
277department, within 10 days after such change.
278     (b)  The mailing address, street address, and telephone
279number of the appraisal management company's principal business
280location. The appraisal management company must notify the
281department of any change in the mailing or street address, on a
282form provided by the department, within 10 days after such
283change.
284     (c)  The appraisal management company's federal employer
285identification number.
286     (d)  The appraisal management company's type of business
287organization, such as a corporation, partnership, limited
288liability company, or sole proprietorship.
289     (e)  A statement as to whether the appraisal management
290company, if incorporated, is a domestic or foreign corporation,
291the company's date of incorporation, the state in which the
292company was incorporated, its charter number, and, if it is a
293foreign corporation, the date that the company first registered
294with the Department of State to conduct business in this state.
295     (f)  The full name, street address, telephone number,
296corporate title, and social security number or federal employer
297identification number of any person who possesses the authority,
298directly or indirectly, to direct the management or policies of
299the appraisal management company, whether through ownership, by
300contract, or otherwise, including, but not limited to:
301     1.  Each officer and director if the appraisal management
302company is a corporation.
303     2.  Each general partner if the appraisal management
304company is a partnership.
305     3.  Each manager or managing member if the appraisal
306management company is a limited liability company.
307     4.  The owner if the appraisal management company is a sole
308proprietorship.
309     5.  Each other person who, directly or indirectly, owns or
310controls 10 percent or more of an ownership interest in the
311appraisal management company.
312     (g)  The firm or business name under which any person
313listed in paragraph (f) conducted business as an appraisal
314management company within the 5 years preceding the date of the
315application.
316     (h)  The appraisal management company's registered agent
317for service of process in this state.
318     (3)  Appropriate fees, as set forth in the rules of the
319board pursuant to s. 475.6147, and a complete set of
320fingerprints for each person listed in paragraph (2)(f) must
321accompany all applications for registration. The fingerprints
322shall be forwarded to the Division of Criminal Justice
323Information Systems within the Department of Law Enforcement for
324purposes of processing the fingerprints to determine whether the
325person has a criminal history record. The fingerprints shall
326also be forwarded to the Federal Bureau of Investigation for
327purposes of processing the fingerprints to determine whether the
328person has a criminal history record. The information obtained
329by the processing of fingerprints by the Department of Law
330Enforcement and the Federal Bureau of Investigation shall be
331sent to the department for the purpose of determining whether
332the appraisal management company is statutorily qualified for
333registration.
334     (4)  At the time of filing an application for registration
335of an appraisal management company, each person listed in
336paragraph (2)(f) must sign a pledge to comply with the Uniform
337Standards of Professional Appraisal Practice upon registration
338and must indicate in writing that she or he understands the
339types of misconduct for which disciplinary proceedings may be
340initiated. The application shall expire 1 year after the date
341received.
342     (5)  Each person listed in paragraph (2)(f) must be
343competent and qualified to engage in appraisal management
344services with safety to the general public and those with whom
345the person may undertake a relationship of trust and confidence.
346If any person listed in paragraph (2)(f) has been denied
347registration, licensure, or certification as an appraiser or has
348been disbarred, or if the person's registration, license, or
349certificate to practice or conduct any regulated profession,
350business, or vocation has been revoked or suspended by this or
351any other state, any nation, any possession or district of the
352United States, or any court or lawful agency thereof because of
353any conduct or practices that would have warranted a like result
354under this part, or if the person has been guilty of conduct or
355practices in this state or elsewhere that would have been
356grounds for disciplining her or his registration, license, or
357certification under this part had the person then been a
358registered trainee appraiser or a licensed or certified
359appraiser, the person shall be deemed not to be qualified
360unless, because of lapse of time and subsequent good conduct and
361reputation, or other reason deemed sufficient, it appears to the
362board that the interest of the public is not likely to be
363endangered by the granting of registration.
364     (6)  An applicant seeking to become registered under this
365part as an appraisal management company may not be rejected
366solely by virtue of membership or lack of membership of any
367person listed in paragraph (2)(f) or any employee of the company
368in any particular appraisal organization.
369     (7)  An applicant for registration who is not a resident of
370the state shall file an irrevocable consent that suits and
371actions may be commenced against the appraisal management
372company in any county of the state in which a plaintiff having a
373cause of action or suit against the company resides and that
374service of any process or pleading in suits or actions against
375the company may be made by delivering the process or pleading to
376the director of the Division of Real Estate by certified mail,
377return receipt requested, and also to the appraisal management
378company by registered mail addressed to the company's designated
379principal business location or, if its principal business
380location is located in this state, to the company's registered
381agent. Service, when so made, must be taken and held in all
382courts to be as valid and binding upon the appraisal management
383company as if made upon the company in this state within the
384jurisdiction of the court in which the suit or action is filed.
385The irrevocable consent must be in a form prescribed by the
386department and be acknowledged before a notary public.
387     (8)  The department shall renew the registration of an
388appraisal management company upon receipt of the renewal
389application and the proper fee. The department shall adopt rules
390establishing a procedure for renewal of the registration of an
391appraisal management company at least every 4 years.
392     Section 6.  Section 475.624, Florida Statutes, is amended
393to read:
394     475.624  Discipline of appraisers.-The board may deny an
395application for registration or certification of an appraiser;
396may investigate the actions of any appraiser registered,
397licensed, or certified under this part; may reprimand or impose
398an administrative fine not to exceed $5,000 for each count or
399separate offense against any such appraiser; and may revoke or
400suspend, for a period not to exceed 10 years, the registration,
401license, or certification of any such appraiser, or place any
402such appraiser on probation, if the board it finds that the
403registered trainee, licensee, or certificateholder:
404     (1)  Has violated any provision provisions of this part or
405s. 455.227(1); however, any appraiser registered, licensed, or
406certified certificateholders, registrants, and licensees under
407this part is are exempt from the provisions of s. 455.227(1)(i).
408     (2)  Has been guilty of fraud, misrepresentation,
409concealment, false promises, false pretenses, dishonest conduct,
410culpable negligence, or breach of trust in any business
411transaction in this state or any other state, nation, or
412territory; has violated a duty imposed upon her or him by law or
413by the terms of a contract, whether written, oral, express, or
414implied, in an appraisal assignment; has aided, assisted, or
415conspired with any other person engaged in any such misconduct
416and in furtherance thereof; or has formed an intent, design, or
417scheme to engage in such misconduct and committed an overt act
418in furtherance of such intent, design, or scheme. It is
419immaterial to the guilt of the registered trainee appraiser or
420licensed, licensee, or certified appraiser certificateholder
421that the victim or intended victim of the misconduct has
422sustained no damage or loss; that the damage or loss has been
423settled and paid after discovery of the misconduct; or that such
424victim or intended victim was a customer or a person in
425confidential relation with the registered trainee appraiser or
426licensed, licensee, or certified appraiser certificateholder, or
427was an identified member of the general public.
428     (3)  Has advertised services in a manner that which is
429fraudulent, false, deceptive, or misleading in form or content.
430     (4)  Has violated any provision of the provisions of this
431part or any lawful order or rule issued under the provisions of
432this part or chapter 455.
433     (5)  Has been convicted or found guilty of, or entered a
434plea of nolo contendere to, regardless of adjudication, a crime
435in any jurisdiction that which directly relates to the
436activities of a registered trainee appraiser or licensed or
437certified appraiser, or that which involves moral turpitude or
438fraudulent or dishonest conduct. The record of a conviction
439certified or authenticated in such form as admissible in
440evidence under the laws of the state shall be admissible as
441prima facie evidence of such guilt.
442     (6)  Has had a registration, license, or certification as
443an appraiser revoked, suspended, or otherwise acted against;, or
444has been disbarred;, or has had her or his registration,
445license, or certificate to practice or conduct any regulated
446profession, business, or vocation revoked or suspended by this
447or any other state, any nation, or any possession or district of
448the United States;, or has had an application for such
449registration, licensure, or certification to practice or conduct
450any regulated profession, business, or vocation denied by this
451or any other state, any nation, or any possession or district of
452the United States.
453     (7)  Has become temporarily incapacitated from acting as an
454appraiser with safety to those in a fiduciary relationship with
455her or him because of drunkenness, use of drugs, or temporary
456mental derangement; however, suspension of a license,
457certification, or registration in such cases shall only be for
458the period of such incapacity.
459     (8)  Is confined in any county jail, postadjudication; is
460confined in any state or federal prison or mental institution;
461or, through mental disease or deterioration, can no longer
462safely be entrusted to deal with the public or in a confidential
463capacity.
464     (9)  Has failed to inform the board in writing within 30
465days after pleading guilty or nolo contendere to, or being
466convicted or found guilty of, any felony.
467     (10)  Has been found guilty, for a second time, of any
468misconduct that warrants disciplinary action, or has been found
469guilty of a course of conduct or practice that which shows that
470she or he is incompetent, negligent, dishonest, or untruthful to
471an extent that those with whom she or he may sustain a
472confidential relationship may not safely do so.
473     (11)  Has made or filed a report or record, either written
474or oral, that which the registered trainee appraiser or
475licensed, licensee, or certified appraiser certificateholder
476knows to be false; has willfully failed to
477record required by state or federal law; has
478or obstructed such filing;, or has induced
479impede or obstruct such filing. However, such reports or records
480shall include only those that which are signed or presented in
481the capacity of a registered trainee appraiser or licensed or
482certified appraiser.
483     (12)  Has obtained or attempted to obtain a registration,
484license, or certification by means of knowingly making a false
485statement, submitting false information, refusing to provide
486complete information in response to an application question, or
487engaging in fraud, misrepresentation, or concealment.
488     (13)  Has paid money or other valuable consideration,
489except as required by this section, to any member or employee of
490the board to obtain a registration, license, or certification
491under this section.
492     (14)  Has violated any standard for the development or
493communication of a real estate appraisal or other provision of
494the Uniform Standards of Professional Appraisal Practice.
495     (15)  Has failed or refused to exercise reasonable
496diligence in developing an appraisal or preparing an appraisal
497report.
498     (16)  Has failed to communicate an appraisal without good
499cause.
500     (17)  Has accepted an appraisal assignment if the
501employment itself is contingent upon the appraiser reporting a
502predetermined result, analysis, or opinion, or if the fee to be
503paid for the performance of the appraisal assignment is
504contingent upon the opinion, conclusion, or valuation reached
505upon the consequences resulting from the appraisal assignment.
506     (18)  Has failed to timely notify the department of any
507change in business location, or has failed to fully disclose all
508business locations from which she or he operates as a registered
509trainee real estate appraiser or licensed or certified real
510estate appraiser.
511     Section 7.  Section 475.6245, Florida Statutes, is created
512to read:
513     475.6245  Discipline of appraisal management companies.-
514     (1)  The board may deny an application for registration of
515an appraisal management company; may investigate the actions of
516any appraisal management company registered under this part; may
517reprimand or impose an administrative fine not to exceed $5,000
518for each count or separate offense against any such appraisal
519management company; and may revoke or suspend, for a period not
520to exceed 10 years, the registration of any such appraisal
521management company, or place any such appraisal management
522company on probation, if the board finds that the appraisal
523management company or any person listed in s. 475.6235(2)(f):
524     (a)  Has violated any provision of this part or s.
525455.227(1); however, any appraisal management company registered
526under this part is exempt from s. 455.227(1)(i).
527     (b)  Has been guilty of fraud, misrepresentation,
528concealment, false promises, false pretenses, dishonest conduct,
529culpable negligence, or breach of trust in any business
530transaction in this state or any other state, nation, or
531territory; has violated a duty imposed upon her or him by law or
532by the terms of a contract, whether written, oral, express, or
533implied, in an appraisal assignment; has aided, assisted, or
534conspired with any other person engaged in any such misconduct
535and in furtherance thereof; or has formed an intent, design, or
536scheme to engage in such misconduct and committed an overt act
537in furtherance of such intent, design, or scheme. It is
538immaterial to the guilt of the appraisal management company that
539the victim or intended victim of the misconduct has sustained no
540damage or loss; that the damage or loss has been settled and
541paid after discovery of the misconduct; or that such victim or
542intended victim was a customer or a person in confidential
543relation with the appraisal management company or was an
544identified member of the general public.
545     (c)  Has advertised services in a manner that is
546fraudulent, false, deceptive, or misleading in form or content.
547     (d)  Has violated any provision of this part or any lawful
548order or rule issued under this part or chapter 455.
549     (e)  Has been convicted or found guilty of, or entered a
550plea of nolo contendere to, regardless of adjudication, a crime
551in any jurisdiction that directly relates to the activities of
552an appraisal management company or that involves moral turpitude
553or fraudulent or dishonest conduct. The record of a conviction
554certified or authenticated in such form as admissible in
555evidence under the laws of the state shall be admissible as
556prima facie evidence of such guilt.
557     (f)  Has had a registration, license, or certification as
558an appraiser or a registration as an appraisal management
559company revoked, suspended, or otherwise acted against; has been
560disbarred; has had her or his registration, license, or
561certificate to practice or conduct any regulated profession,
562business, or vocation revoked or suspended by this or any other
563state, any nation, or any possession or district of the United
564States; or has had an application for such registration,
565licensure, or certification to practice or conduct any regulated
566profession, business, or vocation denied by this or any other
567state, any nation, or any possession or district of the United
568States.
569     (g)  Has become temporarily incapacitated from acting as an
570appraisal management company with safety to those in a fiduciary
571relationship with her or him because of drunkenness, use of
572drugs, or temporary mental derangement; however, suspension of a
573registration in such cases shall only be for the period of such
574incapacity.
575     (h)  Is confined in any county jail, postadjudication; is
576confined in any state or federal prison or mental institution;
577or, through mental disease or deterioration, can no longer
578safely be entrusted to deal with the public or in a confidential
579capacity.
580     (i)  Has failed to inform the board in writing within 30
581days after pleading guilty or nolo contendere to, or being
582convicted or found guilty of, any felony.
583     (j)  Has been found guilty, for a second time, of any
584misconduct that warrants disciplinary action, or has been found
585guilty of a course of conduct or practice that shows that she or
586he is incompetent, negligent, dishonest, or untruthful to an
587extent that those with whom she or he may sustain a confidential
588relationship may not safely do so.
589     (k)  Has made or filed a report or record, either written
590or oral, that the appraisal management company knows to be
591false; has willfully failed to file a report or record required
592by state or federal law; has willfully impeded or obstructed
593such filing; or has induced another person to impede or obstruct
594such filing. However, such reports or records shall include only
595those that are signed or presented in the capacity of an
596appraisal management company.
597     (l)  Has obtained or attempted to obtain a registration,
598license, or certification by means of knowingly making a false
599statement, submitting false information, refusing to provide
600complete information in response to an application question, or
601engaging in fraud, misrepresentation, or concealment.
602     (m)  Has paid money or other valuable consideration, except
603as required by this section, to any member or employee of the
604board to obtain a registration, license, or certification under
605this section.
606     (n)  Has instructed an appraiser to violate any standard
607for the development or communication of a real estate appraisal
608or other provision of the Uniform Standards of Professional
609Appraisal Practice.
610     (o)  Has engaged in the development of an appraisal or the
611preparation of an appraisal report, unless the appraisal
612management company is owned or controlled by certified
613appraisers.
614     (p)  Has failed to communicate an appraisal without good
615cause.
616     (q)  Has accepted an appraisal assignment if the employment
617itself is contingent upon the appraisal management company
618reporting a predetermined result, analysis, or opinion or if the
619fee to be paid for the performance of the appraisal assignment
620is contingent upon the opinion, conclusion, or valuation reached
621upon the consequences resulting from the appraisal assignment.
622     (r)  Has failed to timely notify the department of any
623change in principal business location as an appraisal management
624company.
625     (s)  Has influenced or attempted to influence the
626development, reporting, or review of an appraisal through
627coercion, extortion, collusion, compensation, inducement,
628intimidation, bribery, or any other means, including, but not
629limited to:
630     1.  Withholding or threatening to withhold timely payment
631for an appraisal, unless such nonpayment is based upon specific
632quality or other service issues that constitute noncompliance
633with the appraisal engagement agreement.
634     2.  Withholding or threatening to withhold future business
635from an appraiser.
636     3.  Promising future business, promotions, or increased
637compensation for an appraiser, whether the promise is express or
638implied.
639     4.  Conditioning a request for appraisal services or the
640payment of an appraisal fee, salary, or bonus upon the opinion,
641conclusion, or valuation to be reached or upon a preliminary
642estimate or opinion requested from an appraiser.
643     5.  Requesting that an appraiser provide an estimated,
644predetermined, or desired valuation in an appraisal report or
645provide estimated values or comparable sales at any time before
646the appraiser's completion of appraisal services.
647     6.  Providing to an appraiser an anticipated, estimated,
648encouraged, or desired value for a subject property or a
649proposed or target amount to be loaned to the borrower, except
650that a copy of the sales contract for purchase transactions may
651be provided.
652     7.  Providing to an appraiser, or any person related to the
653appraiser, stock or other financial or nonfinancial benefits.
654     8.  Allowing the removal of an appraiser from an appraiser
655panel without prior written notice to the appraiser.
656     9.  Obtaining, using, or paying for a second or subsequent
657appraisal or ordering an automated valuation model in connection
658with a mortgage financing transaction unless there is a
659reasonable basis to believe that the initial appraisal was
660flawed or tainted and such basis is clearly and appropriately
661noted in the loan file, or unless such appraisal or automated
662valuation model is issued pursuant to a bona fide prefunding or
663postfunding appraisal review or quality control process.
664     10.  Any other act or practice that impairs or attempts to
665impair an appraiser's independence, objectivity, or
666impartiality.
667     (t)  Has altered, modified, or otherwise changed a
668completed appraisal report submitted by an appraiser to an
669appraisal management company.
670     (u)  Has employed, contracted with, or otherwise retained
671an appraiser whose registration, license, or certification is
672suspended or revoked to perform appraisal services or appraisal
673management services.
674     (2)  The board may reprimand an appraisal management
675company, conditionally or unconditionally suspend or revoke any
676registration of an appraisal management company issued under
677this part, or impose administrative fines not to exceed $5,000
678for each count or separate offense against any such appraisal
679management company if the board determines that the appraisal
680management company is attempting to perform, has performed, or
681has attempted to perform any of the following acts:
682     (a)  Committing any act in violation of this part.
683     (b)  Violating any rule adopted by the board under this
684part.
685     (c)  Obtaining a registration of an appraisal management
686company by fraud, misrepresentation, or deceit.
687     (3)  This section does not prohibit an appraisal management
688company from requesting an appraiser to:
689     (a)  Provide additional information about the basis of a
690valuation, including consideration of additional comparable
691data; or
692     (b)  Correct objective factual errors in an appraisal
693report.
694     Section 8.  Section 475.626, Florida Statutes, is amended
695to read:
696     475.626  Violations and penalties.-
697     (1)  A person may not: VIOLATIONS.-
698     (a)  No person shall Operate or attempt to operate as a
699registered trainee appraiser, a or licensed or certified
700appraiser, or an appraisal management company without being the
701holder of a valid and current registration, license, or
702certification.
703     (b)  No person shall Violate any lawful order or rule of
704the board which is binding upon her or him.
705     (c)  If a registered trainee appraiser or a licensed or
706certified appraiser, No person shall commit any conduct or
707practice set forth in s. 475.624.
708     (d)  If an appraisal management company, commit any conduct
709or practice set forth in s. 475.6245.
710     (e)(d)  No person shall Make any false affidavit or
711affirmation intended for use as evidence by or before the board
712or any member thereof, or by any of its authorized
713representatives, nor may shall any person give false testimony
714under oath or affirmation to or before the board or any member
715thereof in any proceeding authorized by this section.
716     (f)(e)  No person shall Fail or refuse to appear at the
717time and place designated in a subpoena issued with respect to a
718violation of this section, unless such failure to appear is the
719result of facts or circumstances that are sufficient to excuse
720appearance in response to a subpoena from the circuit court; nor
721may shall a person who is present before the board or a member
722thereof or one of its authorized representatives acting under
723authority of this section refuse to be sworn or to affirm or
724fail or refuse to answer fully any question propounded by the
725board, the member, or such representative, or by any person by
726the authority of such officer or appointee.
727     (g)(f)  No person shall Obstruct or hinder in any manner
728the enforcement of this section or the performance of any lawful
729duty by any person acting under the authority of this section,
730or interfere with, intimidate, or offer any bribe to any member
731of the board or any of its employees or any person who is, or is
732expected to be, a witness in any investigation or proceeding
733relating to a violation of this section.
734     (h)(g)  No person shall Knowingly conceal any information
735relating to violations of this section.
736     (2)  A PENALTIES.-Any person who violates any provision of
737the provisions of subsection (1) commits is guilty of a
738misdemeanor of the second degree, punishable as provided in s.
739775.082 or s. 775.083, except when a different punishment is
740prescribed by this section. Nothing in This section does not
741shall prohibit the prosecution under any other criminal statute
742of this state of any person for an act or conduct prohibited by
743this section; however, in such cases, the state may prosecute
744under this section or under such other statute, or may charge
745both offenses in one prosecution, but the sentence imposed shall
746not be a greater fine or longer sentence than that prescribed
747for the offense which carries the more severe penalties. A civil
748case, a criminal case, or a denial, revocation, or suspension
749proceeding may arise out of the same alleged state of facts, and
750the pendency or result of one such case or proceeding shall not
751stay or control the result of either of the others.
752     Section 9.  Section 475.629, Florida Statutes, is amended
753to read:
754     475.629  Retention of records.-An appraiser registered,
755licensed, or certified under this part or an appraisal
756management company registered under this part shall retain, for
757at least 5 years or the period specified in the Uniform
758Standards of Professional Appraisal Practice, whichever is
759greater, original or true copies of any contracts engaging the
760appraiser's or appraisal management company's services,
761appraisal reports, and supporting data assembled and formulated
762by the appraiser or company in preparing appraisal reports or
763engaging in appraisal management services. Except as otherwise
764specified in the Uniform Standards of Professional Appraisal
765Practice, the period for retention of the records applicable to
766each engagement of the services of the appraiser or appraisal
767management company runs from the date of the submission of the
768appraisal report to the client. These records must be made
769available by the appraiser or appraisal management company for
770inspection and copying by the department upon on reasonable
771notice to the appraiser or company. However, the department may
772not inspect or copy the records of an appraisal management
773company except in connection with a pending investigation or
774complaint. If an appraisal has been the subject of or has served
775as evidence for litigation, reports and records must be retained
776for at least 2 years after the trial or the period specified in
777the Uniform Standards of Professional Appraisal Practice,
778whichever is greater.
779     Section 10.  This act shall take effect July 1, 2011.


CODING: Words stricken are deletions; words underlined are additions.